My lender keeps throwing up road blocks in my refinance. What can I do?

So I have been trying to refi my house to build a garage. I owe 50k and they said they'll lend 80 percent of the appraised value. First appraisal came in at 85k. Giving me a little less than I wanted but I could swing it. The underwriter kept trying to get the appraiser to knock the appraisal down but they wouldn't so the underwriter ordered a new appraisal. That one came back at 85k and the underwriter said now they'll only loan up to 75 percent of the appraisal or I can get a non-fixed heloc loan for the garage. The whole point was to get one loan at a low fixed rate. Now rates are going back up and the whole summer is almost gone. So if I go to another lender and it takes 30-45 days to close (going on 60 with this bank) that puts me mid August for building it and puts a crunch on time frame. I just want to know if this is legal? If I would have been told ANY of this could happen I would have just went back to Wells Fargo whom seems to still like to finance people with 800 mid scores and 28 percent debt to income. So what can I do and is this legal? And can they stick me with there useless appraisals?